India retail inflation

India retail inflation News

Economists also expressed concern over lower prices realised by farmers for their produce than the minimum support prices, which are at least 50 per cent more than the production cost under new policy.

Retail inflation in November continued the downward trend, slipping to a 17-month low of 2.33 per cent with food prices staying in the negative zone along with lower fuel prices and waning impact of the HRA revision for Central government employees.

At 5 per cent, the inflation rate based on consumer price index (combined) has breached the Reserve Bank of India's inflation rate projection of 4.8-4.9 per cent for April-September.

Data released by Central Statistics Office (CSO) on Tuesday showed that the industrial output growth rose to 4.9 per cent in April due to growth in manufacturing, mining sectors along with a favourable base effect for consumer durables and capital goods.

The retail inflation eased to 4.28 per cent, a five-month low in March, but remained above RBI's medium-term target, supporting views that monetary policy is likely to remain unchanged at the next review in early June.